(a) whether Food Processing Sector has failed to attract Foreign
Direct Investment (FDI);
(b) if so, the details and reasons therefor;
(c) details of the proposals received and actually implemented
with the help of F.D.I. during the last three years; and
(d) the steps proposed by the Government to attract more F.D.I.
in this sector?
THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES ( SHRI TH. CHAOBA SINGH )
(a): No, Sir.
(b): Do not arise.
(c): During the period 1997-98 to 1999-2000, 137 Foreign
Investment Proposals in food processing sector were approved,
envisaging Foreign Investment of Rs.1980 Crores approximately.
Actual implementation details for the three year period are not
available. However, 114 projects were implemented during the
period 1991-Dec., 1999 with inflow of foreign investment of over
Rs.2299 crores.
(d):
(i) Automatic approval for foreign equity up to 100% is
available for most of the processed food items, subject to
certain conditions.
(ii) Food Processing Industries have been included in the list of
priority sector.
(iii) Most of the processed food items have been exempted
from the purview of licensing under Industries (Development &
Regulation) Act, 1951.